Fred Deposited $5,000 in an Account That Promised a Nominal

question 26

Multiple Choice

Fred deposited $5,000 in an account that promised a nominal interest rate of 8% compounded continuously for his daughter who will be going to college in 18 years. How much will she have in the account in 18 years?

• A) $19,980
• B) $20,054
• C) $21,103
• D) $21,694

---

Definitions:

Anticipation

The action of expecting or predicting future events or needs based on current knowledge or trends.

Negotiation Mismatch

A situation where the negotiating parties have significantly different expectations, understandings, or objectives, leading to difficulties in reaching an agreement.

Productive Methods

Techniques or processes that effectively contribute to achieving desired outcomes or enhancing efficiency.

Strategic Levers

Tools or mechanisms that can be utilized to influence the direction or outcome of strategic planning and decision-making.